The Oct. 10 flash crash in the crypto market delivered an early Halloween scare to crypto investors. In a single 24-hour period, nearly every single cryptocurrency plummeted in value as investors ran for the hills.
Even Bitcoin (BTC -4.04%) was not impervious. It fell below $102,000 on some cryptocurrency exchanges and looked in danger of dropping below the $100,000 mark.
But this is no time to give up on the world's most popular cryptocurrency. Here are two reasons you should be thinking about boosting your allocation to Bitcoin before Nov. 1.
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1. It's Bitcoin season
Throughout its more than 15-year history, Bitcoin has historically performed best in the final quarter of the year. By now, the data is virtually indisputable. According to data from CoinGlass, Bitcoin has surged by an average of 79% in Q4.
Some fourth quarters for Bitcoin have been particularly epic. In 2024, Bitcoin surged by 48%. In 2023, Bitcoin soared by 57%. In 2020, Bitcoin skyrocketed by 168%. In 2017, Bitcoin went ballistic, rising by 215%. And in 2013, Bitcoin went parabolic, increasing by a mind-boggling 480%.
Needless to say, no other quarter for Bitcoin comes close in terms of performance. According to past historical data for the period 2013-2025, Bitcoin has soared by an average of 51% in Q1 and 27% in Q2. The only real laggard is Q3, when Bitcoin only has posted average returns of 6%.
But wait, it gets even better. If you drill down into the quarterly numbers, it becomes quickly apparent that the very best month of the year for Bitcoin is November. The crypto bellwether is up an average of 46% in November. That's easily better than the 20% gains posted in October, which is known to many crypto traders as "Uptober."
That's why it's so important for crypto investors to load up on Bitcoin before Nov. 1. Yes, the recent flash crash spooked a lot of investors. But if you fail to get in on Bitcoin between now and Nov. 1, you might miss out on the single best month of the year, as well as the single best quarter of the year, for Bitcoin.
2. Bitcoin as a hedge against market uncertainty
If history is any guide, Bitcoin can be a very useful hedge against macroeconomic uncertainty and geopolitical risk. There is only one caveat here. In the first week or so after any crisis, Bitcoin can dramatically lose its value before quickly recovering.
That appears to be happening now. Bitcoin fell to $102,000 on some cryptocurrency exchanges but has already rebounded to about $114,000. As the early panic over higher tariffs subsides, Bitcoin is likely to recover further.
Again, there's plenty of statistical evidence to back this up. Last year, BlackRock (BLK 3.13%) published a report called "Bitcoin: A Unique Diversifier." In it, the multi-trillion-dollar asset management giant examined the ability of Bitcoin to withstand major macroeconomic and geopolitical shocks during the past five years.
And here's where it gets really interesting: In all six cases examined by BlackRock, Bitcoin actually held its value better than gold over a long-enough time horizon. Generally speaking, that means Bitcoin deserves its distinction as a flight-to-quality asset for investors. So I'm fully expecting Bitcoin to hold up later this year, even if the battle over global tariffs intensifies.
"Buy the dip" on Bitcoin
By now, crypto investors know exactly what to do any time Bitcoin loses 10% or more of its value. You buy the dip. In other words, you buy more Bitcoin at a discounted price.
This strategy has worked very well during the past decade. Bitcoin has been on a long upward march from $1,000 to $10,000 to $100,000. Yes, there have been setbacks and declines along the way. But these times have been perfect opportunities to buy the dip on Bitcoin.
Of course, there are no guarantees here. There's no iron law of crypto that says Bitcoin must always go up. And there's still intense debate over whether Bitcoin is digital gold or fool's gold. But if history is any guide, now is the time to buy Bitcoin before it goes on another of its remarkable year-end rallies.
